The bill amends Arkansas Code 8-7-907 regarding payments for corrective actions related to petroleum storage tanks. It establishes that no payment for corrective action will be made from the Petroleum Storage Tank Trust Fund until the owner or operator has expended a deductible set by the Arkansas Pollution Control and Ecology Commission, replacing the previous fixed amount of $7,500. This deductible is intended to function similarly to an insurance policy deductible. Additionally, owners or operators must demonstrate financial responsibility for this deductible amount.

Furthermore, the bill modifies the conditions under which payments for corrective actions may be denied. It introduces a new provision that allows the deductible amount incurred by the owner or operator to be established by rule, with input from the Advisory Committee on Petroleum Storage Tanks, and sets a maximum deductible limit of $30,000. The Arkansas Pollution Control and Ecology Commission is tasked with creating rules that may set deductibles higher than $7,500 but not exceeding $30,000, and these rules may vary based on specific violations of commission regulations.

Statutes affected:
Old version HB1277 V2 - 3-18-2025 10:43 AM: 8-7-907(a), 8-7-907(d)
Old version HB1277 Original - 1-28-2025 10:59 AM: 8-7-905(d), 8-7-907(a), 8-7-907(d), 8-7-907
HB 1277: 8-7-905(d), 8-7-907(a), 8-7-907(d), 8-7-907
Act 706: 8-7-907(a), 8-7-907(d)